China still significant engine of global economic growth

Global stock market, foreign currency market and commodity market are all going through a turbulent period these days. Some people think that economic slowdown in China impacts the global economy, and some illustrate a gloomy picture of the future development of China.

Take a look at the bulk commodities as an example. We can see that imports fell sharply this year. Actually the main reason is the declining of the import price. According to the official data, from January to August this year, the import amount of iron ore of China only drops 0.2 percent. The import amount of crude oil and soybean grew by 9.8 percent and 9.9 percent respectively. The growth rate of the cereal import volume reaches 84.6 percent.

The Chinese economy faces downward pressures now, and the influence factors are integrated. China economy is in an adjusted period of economic structure adjustment. During this special period, both the domestic demands and the overseas market demands have been subdued. Besides, the US interest rate hike leads to foreign drain, home currency devaluation and financial market turbulence of most emerging economies.

Overall, China’s economic development has entered into the new normal. The international community should get adapt to this change. China’s economy is still full of potential and flexibility, and it is one of the world’s fastest-growing major developing economies, and also, a significant engine for global economic growth.

China now plans to boost “opening the door to the outside world” to a higher level, moving forward steps on permission for foreign investment, speeding up the construction of multilateral free trade areas, putting the Belt and Road project effect, and taking a leading role in helping increase global economy.

It’s worth noting that, despite the background of the foreign direct investment declining globally, the amount of Chinese foreign direct investment in 2014 hit a new record – $123.12 billion, grew by 14.2 percent. The outward foreign direct investment (OFD) of China in 2014 has entered the global top 10 for the first time. (The Daily Mail – People’s Daily news exchange item)

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The 2018 Boao Forum for Asia (BFA) annual conference is scheduled for April 8 to 11 in Boao, Hainan Province. The forum will be themed "An Open and Innovative Asia for a World of Greater Prosperity."
— The Daily Mail - People's Daily